Advanced Micro Devices Inc (AMD)

[upc]

otellini responded to a question to that effect and said all parts of the market are served and that moving price wouldn't help units move any faster being basically inelastic.

That's a fishy explanation and it sounds like spin to cover a real reason. After all, Intel dropped prices in the past. Why has demand suddenly become inelastic with respect to price? Isn't the real reason more likely to be: Intel is worried about GMs, and AMD is still relatively supply-constrained until Fab 36 comes on line. Therefore better to keep prices high and let AMD supply what they can.

upc